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Is Your Supply Chain Agile?
Supply chain planners can react rapidly to demand and supply fluctuations by investing in operational agility, o
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CIO Applications | Monday, May 03, 2021

Supply chain planners can react rapidly to demand and supply fluctuations by investing in operational agility, which prioritizes coordination, teamwork, and visibility over demand sensing and scenario planning. This increases their ability to deliver on time and in full through market uncertainty.
Fremont, CA: For years, supply chain managers have focused on forecasting to ensure that the supply chain can react to market and industry volatility, and, in the consumer packaged goods (CPG) industry, in particular, changing consumer demands. However, as the year 2020 demonstrated, there are certain items that even the most detailed prediction cannot account for. How will supply chain leaders ensure their supply chain will adapt to changes in real-time if they lack the ability to forecast accurately?
Supply chain planners can react rapidly to demand and supply fluctuations by investing in operational agility, which prioritizes coordination, teamwork, and visibility over demand sensing and scenario planning. This increases their ability to deliver on time and in full through market uncertainty.
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CPG supply chains are complex, owing to the extensive network of external supply chain partners on which they depend to fulfill orders. Although CPGs may implement new technologies to digitize their internal supply chains, the advantages of these solutions would be restricted if there is no insight into the operation of external partners. These relationships have been maintained for years by phone calls, Excel spreadsheets, and emails. This not only opens the door to miscommunications and errors but also makes it difficult for those in the supply chain to respond quickly when speed is critical.
CPGs must digitally transform their entire supply chain, including their external partner network, to solve these challenges. CPGs must not only be digitally linked to their external partners, but they must also ensure that those partners have the technical resources to capture and exchange real-time data from the shop floor. By digitizing, CPGs and their partners gain access to real-time data in the late-stage supply chain, allowing them to make wise and timely decisions to ensure goods arrive on time and in full. The most critical aspect, however, is increased teamwork. CPGs and suppliers can see every detail of the supply chain in real-time via a single network with a cloud-based solution that can digitally monitor all facets of the shop floor – from manufacturing to inventory levels.
See Also:Top Supply Chain Solution Companies
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